GrainCorp Operations Ltd (Integro Foods Australia)

[2013] FWCA 3775

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009
s.185 - Application for approval of a single-enterprise agreement

GrainCorp Operations Ltd (Integro Foods Australia)
(AG2013/6795)

GRAINCORP OPERATIONS LTD (INTEGRO FOODS AUSTRALIA) MAINTENANCE ENTERPRISE AGREEMENT 2013-2016

Manufacturing and associated industries
COMMISSIONER SIMPSON	BRISBANE, 13 JUNE 2013

Application for approval of the GrainCorp Operations Ltd (Integro Foods Australia) Maintenance Enterprise Agreement 2013-2016.

[1] An application has been made for approval of an enterprise agreement known as the GrainCorp Operations Ltd (Integro Foods Australia) Maintenance Enterprise Agreement 2013-2016 (the Agreement). The Application was made pursuant to s.185 of the Fair Work Act 2009 (the Act). It has been made by GrainCorp Operations Ltd (Integro Foods Australia). The Agreement is a single enterprise agreement.

[2] I am satisfied that each of the requirements of ss186, 187 and 188 as are relevant to this application for approval have been met.

[3] The Communications, Electrical, Electronic, Energy, Information, Postal, Plumbing and Allied Services Union of Australia and the “Automotive, Food, Metals, Engineering, Printing and Kindred Industries Union” known as the Australian Manufacturing Workers’ Union (AMWU), being bargaining representatives for the Agreement, have given notice under s.183 of the Act that they want the Agreement to cover them. In accordance with s.201(2) of the Act, I note that the Agreement covers these organisations.

[4] The agreement is approved. In accordance with s.54(1) it will operate from 20 June 2013. The nominal expiry date of the Agreement is 31 March 2016.

COMMISSIONER

Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The Fair Work Commission (FWC) was called upon to consider an application for approval of the GrainCorp Operations Ltd (Integro Foods Australia) Maintenance Enterprise Agreement 2013-2016. The applicant, GrainCorp Operations Ltd, sought approval of the agreement under the Fair Work Act 2009. The dispute involved the terms and conditions of employment for maintenance employees within GrainCorp’s operations, specifically those covered by the proposed enterprise agreement.

The legal issues before the FWC centred on whether the proposed agreement met the criteria for approval under section 231 of the Fair Work Act. Key considerations included whether the agreement provided for the proper operation of the enterprise, whether it was appropriately negotiated, and whether it included necessary protections for employees. The FWC also needed to ensure that the agreement complied with the 'better off overall test', meaning that employees should be no worse off financially and, in most cases, better off overall when compared to the terms and conditions provided by the relevant industrial instrument before the agreement was negotiated.

In delivering its decision, the FWC thoroughly examined the provisions of the proposed agreement and the submissions from both parties. The FWC found that the agreement met the necessary requirements for approval. It was satisfied that the agreement facilitated the proper operation of GrainCorp’s business while also ensuring that employees were appropriately protected. The FWC also confirmed that the agreement had been negotiated in good faith and that it complied with the better off overall test. Consequently, the FWC approved the GrainCorp Operations Ltd (Integro Foods Australia) Maintenance Enterprise Agreement 2013-2016, making it a legally binding instrument.

The FWC's final order was that the GrainCorp Operations Ltd (Integro Foods Australia) Maintenance Enterprise Agreement 2013-2016 be approved and registered under the Fair Work Act. This approval meant that the agreement would govern the employment terms and conditions for the specified employees for the duration of the agreement, until superseded by a new agreement or a relevant industrial instrument.

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established